Forward auction (e-Auction) are electronic auctions, which can be used by sellers to sell their items to many potential buyers. Sellers and buyers can be individuals, organizations etc.
In live terms, E- auctions are where bids are announced by either an auctioneer or by the bidders and winners pay what they bid to receive the object. E-auctions are claimed to be the most common form of third-party on-line auction format used and is deemed to appear the most simplistic of all the forms. The common operational method of the format is that it is an ascending bid auction in which bids are open for all to see. The winner is the highest bidder and the price is the highest bid. The popularity of the E- auction is due to the fact that it uses a mechanism that people find familiar and intuitive and therefore reduces transaction costs. It also transcends the boundaries of a traditional E-auction where physical presence is required by the bidders, making it increasingly popular even though there is a susceptibility to various forms of cheating.